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Amkor Technology and the Semiconductor Cycle: What Investors Should Watch Next
The Motley Fool· 2025-10-31 23:55
Company Overview - Amkor Technology is a leading provider of outsourced semiconductor packaging and test services, operating globally with a diverse customer base [7][8] - The company specializes in advanced packaging technologies and integrated solutions for electronics manufacturers in high-growth markets [7][11] - Amkor's revenue for the trailing twelve months (TTM) is $6.45 billion, with a net income of $307.78 million and a dividend yield of 2.31% [6] Recent Developments - On October 30, 2025, UG Investment Advisers Ltd. sold 932,216 shares of Amkor Technology, valued at approximately $22.44 million, representing 3.5% of their reportable assets under management (AUM) [1][3] - Post-transaction, UG Investment Advisers holds 177,265 shares of Amkor, valued at $5.03 million, which now accounts for 0.79% of their AUM [2][4] Market Performance - As of October 30, 2025, Amkor Technology's share price was $31.92, reflecting a 19.4% increase over the past year, outperforming the S&P 500 by 0.65 percentage points [5] - The company's performance is cyclical, with profits increasing during periods of high chip demand and contracting when production slows [12] Competitive Position - Amkor serves a wide range of clients, including integrated device manufacturers, fabless semiconductor companies, original equipment manufacturers, and contract foundries across various global markets [9] - The company is well-positioned to capture growth in high-demand areas such as AI hardware and automotive electronics due to its expertise in advanced system-in-package technology [11][13]